India Pharmaceuticals: 1QFY27 preview: Focus on future growth drivers

Research evidence excerpt

India Pharmaceuticals: 1QFY27 preview: Focus on future growth drivers

8 July 2026

India Pharmaceuticals EquitiesPharmaceuticals

1QFY27 preview: Focus on future growth drivers India

◆ We assume a steady 1QFY27 for covered pharma names Damayanti Kerai*

with growth in India segment offset by slower exports growth Analyst, India Healthcare HSBC Securities and Capital Markets (India) Private Limited

damayantikerai@hsbc.co.in

◆ We expect a good quarter for Torrent, Lupin, Sun and Zydus; +91 88 7933 5196

Cipla and Dr Reddy’s should see a q-o-q pick-up, in our view Bhavya Gandhi*

Associate, Equity Research

HSBC Securities and Capital Markets (India) Private Limited

◆ We prefer Buy-rated Torrent, Dr Reddy’s, and Lupin; we bhavya.gandhi@hsbc.co.in

update estimates and roll forward valuation, with TP changes +91 22 40891593

Sidharth Sahoo*

Global Life Sciences & Healthcare Analyst

A steady quarter: We expect 1QFY27 to be a stable quarter for covered pharma names HSBC Securities and Capital Markets (India) Private Limited sidharth.sahoo@hsbc.co.in

with strong growth in India segment sales offset by slower growth in the export markets +91 77 3813 4135

(mainly the US). The India Pharma market (IPM) saw strong growth aided by the launch Shubhangi Gupta*, PhD

of semaglutide generics and continued uptick for chronic therapies. For most covered Global Life Sciences & Healthcare Analyst HSBC Securities and Capital Markets (India) Private Limited

names, we assume low-to-mid teens growth rates for India sales in 1Q, led by Torrent, shubhangi.gupta@hsbc.co.in

+91 80 4555 2143

Sun, Zydus and Dr Reddy’s (vs 11.6% y-o-y growth for IPM). In the US segment, 1Q will

see y-o-y impact of gRevlimid loss though this is already priced in, in our view. For our